Periodically Merrill Lynch customers are asked to evaluate M

Periodically, Merrill Lynch customers are asked to evaluate Merrill Lynch financial consultants and services (2000 Merrill Lynch Client Satisfaction Survey). Higher ratings on the client satisfaction survey indicate better service with 7 the maximum service rating. Independent samples of service ratings for two financial consultants are summarized here. Consultant A has 10 years of experience, whereas consultant B has 1 year of experience. Use = .05 and test to see whether the consultant with more experience has the higher population mean service rating. Consultant A Consultant B = 16 = 10 = 6.82 = 6.25 = 0.58 = 0.7 SO the question asks me for the null alternative hypothesis. It says Ho:u1-u2 then it gives me 6 choices which are greater than 0, greater than or equal to 0, less than 0, less than or equal to 0, equal to 0, not equal to zero (I don\'t know which to pick) The next question is identical exept it says Ha with all of the same choices

Thanks!

Solution

Note that the claim always goes to Ha, and then the opposite of Ha is Ho.

If u1 represents consultant A, and u2 for consultant B, then

Ho: u1 - u2 <= 0
Ha: u1 - u2 > 0 [ANSWER]